Brazil soybean exports down in December following US China trade talks

Brazil, the world’s largest soybean supplier, is exporting at a slower rate this December compared to the same month last year, when it exported a total of 4 million tons. So far, in December 2019, daily soybean exports averaged 166,800 tons, in comparison to December of 2018, when the average was 203,500 tons per day.

This drop in Brazilian soybean exports may have been driven by China, the world’s largest grain consumer, who has recently resumed consumption of US soybeans as part of trade negotiations between the two countries.

The current partial trade agreement between the US and China may not be a good sign for Brazilian soybean farmers, who export almost 75% of their production to the Asian country.

The following chart, based on Datamar DataLiner data, shows Brazilian soybean exports to China and the rest of the world on a month by month basis up to November 2019:

Chart Source: DataLiner / Datamar

Sharing is caring!